health insurer must pay $9 million for cancelling woman's policy
 

When Patsy Bates began her battle against breast cancer, she didn't expect she would also have to battle her health insurer too.

Bates faced the bureaucratic diagnosis of rescission: when a health insurer retroactively cancels your insurance policy. But in a precedent-setting decision announced last week, a California judge ordered Bates' insurer to pay her more than $9 million for dropping her policy after it learned she had cancer.

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Not only did she receive a $9 million punitive damages settlement against Health Net Inc., one of the largest for-profit insurers in California, but the company also announced Friday that it had stopped the controversial practice of canceling sick policyholders' policies.

In the landmark ruling, the outraged judge wrote: "She had valid health insurance ? when the rug was pulled from underneath, and that occurred at a time when she is diagnosed with breast cancer, one of the leading causes of death for women."

That's fantastic news for her, but awful news for the general public whos premiums will no doubt rise because of it.. but hey no worries, when the time comes and you actually need your insurance they wont pay out anyway :D

I heard about this on the news. That's a load of bullshit. Good for them. $9mil is getting off cheap.

Solid stuff. :thumbsup

Premiums rise too much = move on to another insurer.

It's the way of capitalism. I'm stoked that a company's being held responsible for jacked-up policy. Hopefully, there's more to come.

Glad to see this.. More people need to start doing this for this crap then sue for increased rates and force them to release the costs/rates of everything. Once a few people see you can sue and win, it's all over with.

Canada FTW, I'd rather wait a little longer for my health care than not get it at all :D

That's a John Grisham novel waiting to happen.

Wow, I can't believe it's legal in the US for health insurance companies to do that!!

Good for her. Insurance companies screw a lot of people.

Good News

Health Insurance companies need an ass woopin

Congrats to the winner, her.